The Most Serene Republic of Balkvla Islands is a massive, socially progressive nation, notable for its complete lack of prisons, keen interest in outer space, and absence of drug laws. The compassionate, democratic, cheerful population of 4.496 billion Balkvla Islandsians are free to do what they want with their own bodies, and vote for whomever they like in elections; if they go into business, however, they are regulated to within an inch of their lives.

The enormous, liberal, socially-minded, outspoken government prioritizes Education, although Environment, Welfare, and Healthcare are also considered important, while Spirituality and Defense aren't funded at all. It meets to discuss matters of state in the capital city of Nimbasa City. The average income tax rate is 95.0%.

The frighteningly efficient Balkvla Islandsian economy, worth 568 trillion hitoes a year, is highly specialized and led by the Tourism industry, with major contributions from Information Technology and Book Publishing. State-owned companies are common. Average income is an impressive 126,551 hitoes, and distributed extremely evenly, with practically no difference between the richest and poorest citizens.

The government is hoping that medical aid will speak louder than human rights abuses, children wondering what happens to pets after they die are shown where the compost heap is, choking on hitoes is a leading cause of death for wild animals, and on-duty Air Balkvla Islands flight attendants are usually seen napping in first class. Crime, especially youth-related, is totally unknown. Balkvla Islands's national animal is the horse, which frolics freely in the nation's many lush forests.

Balkvla Islands is ranked 16,586^th in the world and 56^th in Democratic Socialist Assembly for Most Efficient Economies, scoring 98.28 on the Krugman-Greenspan Business Outlook Index.